Alpha Wolf Capital : The week that was and the week ahead

We had a barrage of good economic news last week which could lead one to feel that the economy is much stronger than many have believed.

However, the market ended the week in the red on Friday. Maybe it was in anticipation of Europe bailing out Cyprus or maybe the market is just taking a well deserved breather.

The ratio of Bulls compared to Bears is clearly in favor of the Bulls as there is a ton of positive sentiment on the street. Yet there are also those that are looking for and expecting some type of correction. Sometimes things become a self fulfilling prophecy and its my belief that it would be healthy for the markets to experience a decent sized correction of at least 10%.

I am not saying that this is going to happen or that a correction is imminent. I'm just not looking at the market with rose colored glasses on. I have a tendency to get cautious when the majority of the masses are leaning in one direction. 90 percent of stocks are going to follow the overall market in whatever direction she is running so when you are on a bull run like this its not that difficult to find winners to ride. It gets more challenging when the market is running the other direction. So lets see what the market has in store for us this week.

Regardless of what the overall market does there are bound to be opportunities in some individual stocks. This weekend I went through over 3000 charts and I added roughly 300 stocks to my GOTO list. This is different from my weekly watch list where I think the stocks are really close to breaking out of a specific setup.These are stocks where I think the charts are setting up or maybe there is a catalyst event that is anticipated to take place in the near term future and I don't want to forget about them. They might not go this week or even next, but I still want to follow them and that is why they get added to my GOTO list.

Builders,Miners,REITS, financials,metals, small retail, small oil and gas, and agriculture were a some of the sectors that really caught my eye. Some of these sectors have been on a tear needing to rest and reset and others have been pretty beaten up and may be looking to rebound.

It is important to understand I am not a financial adviser or a stock broker. I am just an average guy that is making a living trading stocks. My views and opinions are just that and nothing more. Anything you read here should not be taken as investment advice and you should do your own due diligence before making any investment decision.

So with that being said. Lets take a look at this weeks watch list click on the first chart and it should take you to a slide show.